____________ Is Defined as the Sum of All the Perceived

question 12

Multiple Choice

____________ is defined as the sum of all the perceived benefits minus the sum of all the perceived costs of service.

• A) Net value
• B) Consumer surplus
• C) Gross value
• D) Moderate value
• E) Consumer demand

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Definitions:

Operating Expenses

Costs associated with the day-to-day functioning of a business that are not directly tied to production, such as salaries and rent.

Production Processes

Refers to the sequence of activities or operations involved in transforming raw materials into finished goods.

Value Analysis

A systematic assessment to identify and eliminate unnecessary costs in product design without sacrificing functionality or quality.

Continuous Improvement

An ongoing effort to improve products, services, or processes by making incremental improvements over time.